Encrypting File System (EFS) [1], is integrated in Microsofts Windows platform since Windows 2000. Additionally, Windows XP Professional, Windows 2003 Server and Windows 2005 Media Center operating systems also support it. EFS uses public key cryptography that makes use of a users account login and password pair to encrypt a private key. The private key is used to encrypt the original data (files or folders). Encrypting any files or folders, in the supported operating systems, is a trivial task and can be done in many ways. For example as shown in the image below calc.exe can be encrypted just by clicking on advanced and then checking Encrypt contents to secure data.
Consumer Reports recently came under heavy fire from some in the anti-virus industry for creating some 5,500 new virus variants to see how well a dozen leading products fared in detecting the new nasties. More than 100 security experts and executives from companies like Microsoft and HP as well as anti-virus vendors F-Secure, Kaspersky, McAfee, Sophos, Symantec and Trend Micro signed their names to a declaration denouncing Consumer Reports' methods, stating that it is "not necessary and ... not useful to write computer viruses to learn how to protect against them."
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